Nokia Corporation: Repurchase of own shares
Stock Exchange Release 28 November 2024 at 22:30 EET
On 28 November 2024 Nokia Corporation has acquired its own shares as follows:
Trading venue (MIC Code): XHEL
Number of shares: 872,093
Weighted average price / share, EUR*: 3.97
On 22 November 2024, Nokia announced that its Board of Directors is initiating a share buyback program to offset the dilutive effect of new Nokia shares issued to the shareholders of Infinera Corporation and certain Infinera Corporation share-based incentives. The repurchases are in compliance with the Market Abuse Regulation (EU) 596/2014 (MAR) and the Commission Delegated Regulation (EU) 2016/1052, under the authorization granted by Nokia’s Annual General Meeting on 3 April 2024. The buyback program started on 25 November 2024 and will end by 31 December 2025, with a target of repurchasing 150 million shares for a maximum aggregate purchase price of EUR 900 million.
Effect on Individuals:
For individual investors, Nokia’s share buyback program could potentially lead to an increase in the value of their remaining shares. As Nokia repurchases its own shares from the market, the remaining shares become scarcer, which can drive up the share price. This could result in a positive impact on the individual shareholders’ overall investment in Nokia.
Effect on the World:
From a broader perspective, Nokia’s share buyback program can have implications for the overall stock market and economy. By reducing the number of outstanding shares, Nokia can increase its earnings per share and potentially improve its financial performance, which may attract more investors and positively impact the company’s overall market valuation. This can contribute to the stability and growth of the global economy.
Conclusion:
Nokia Corporation’s decision to repurchase its own shares as part of a buyback program is aimed at enhancing shareholder value and offsetting dilution from recent share issuances. This strategic move not only benefits individual investors by potentially increasing the value of their holdings, but also has positive implications for the global economy by improving the company’s financial performance and market valuation.
